Accepting an inheritance: How not to “inherit” debt

Many heirs suddenly found themselves with debts to the banks, of which they were completely unaware.

“The cases of transfer of bank debts following the acceptance of an inheritance without the knowledge of the consumers are increasing. Six years later, a young consumer discovered debts that had been transferred to him after the loss of his parent.”

This is noted in a statement by the Union of Consumer Workers of Greece of GSEE (EEKE), adding that “with its support and guidance, possible debts were systematically sought in other banking institutions, with the aim of settling them, and four more loan obligations were revealed, of which the EEKE managed to delete an amount of 5,953 euros”.

The association reminds consumers, on this occasion, that:

– after the death of the heir and within a period of four months (then the implicit acceptance of the inheritance occurs), the heir must check the property situation of the deceased and in particular establish whether there are debts to the State, EFKA, credit institutions (loans, etc. ). This is because, in case of accepting an inheritance, he will be responsible for the debts of the inheritor and with his personal property.

– If, despite this, it is not possible to check the property situation, it is appropriate to accept an inheritance with the benefit of the inventory. This declaration is made to the Magistrate’s Court within the period of renunciation and has the effect of limiting his liability for the debts of the inheritance up to its assets, i.e. up to the total value of the inheritance and not to his personal property.

This is followed (by decision of the Justice of the Peace) with the inventory of the inheritance which is incorporated into a report and constitutes an official notarial document.

The heir, therefore, who accepted the inheritance with the benefit of the inventory, is not released from his responsibility for the debts of the inheritance, but is still responsible for them, up to the assets of the inheritance, that is, without being responsible for his personal property as well .

Creditors can only be satisfied from the inventoried property.

Finally, EEKE reminds that since 2010 it has been providing consumers with support and counseling for the out-of-court settlement of their debts to credit institutions.

Source: RES-MPE